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The purpose of this study was to determine the effect of intellectual capital on the firm's value with company's financial performance (profitability) as an intervening variable. Intellectual capital was measured using Pulic's models. This research sample number 93 companies manufacturing sector listed in Indonesia Stock Exchange. The results showed that: (a) the intellectual capital has a positive effect on firm value; (b) intellectual capital has a positive impact on profitability; and (c) studies have shown that profitability serves as an intervening variable in a causal relationship between intellectual capital and firm value.
Nuryaman Nuryaman (Sun,) studied this question.